Forex trading for Beginners 2020 /updated

VOL II
BEST FOR
BEGINNERS
FOREX
TRADING
in 15 minutes

If you want lots of theory and complicated analysis, you
picked up the wrong e-book! You don't need another classic,
boring "learning material". What you need are easy-to-apply
strategies and ready-to-use tools to help you become a
better trader faster.
The popularity of the Forex Basics & Secrets in 15
Minutes e-book has encouraged us to create a
second upgraded edition. We received a lot of
great feedback about the first e-book (thank you!)
and we hope that everyone will enjoy the new
strategies in this second edition.
This e-book will help you learn Forex trading skills
in the fastest time possible! It doesn't matter so
much what education and background you have.
Our program has shown interesting results: people
with no previous financial market experience often
delivered better performance than those with the
experience! Watch the TV series “Million-Dollar
Trader” and this fact is confirmed as well.
Gone are the days when you have to have
thousands of dollars to participate in the Forex
market. Now, you can start trading with as little as
$100! You can also forget about spending years
reading piles of brain-busting books on economic
analysis. We have gathered and filtered the most
pertinent information and strategies that will let
you make money.
With Forex, you can be free. You can live and work
anywhere in the world, be free from the routine,
and not answer to anybody!
About this e-book
Trading involves risk. Leveraged trading has large potential rewards, but also
large potential of risk. Be aware and accept this risk before trading.
30 days after you read this e-book,
your friends will notice your success!

forex market at a glance
Make money even in times of crisis
While the stock market and commercial bank deposits are in
deep depression during the crisis, Forex profits, because any
change in currency can be used to make profit. A falling
market is as profitable for Forex trading as a developing one.
Take your money whenever you
want
A $50 billion market isn’t just a miraculously beautiful
number – it is also what ensures that you can sell or buy
any amount of currency you wish at any moment.
Work while lying in a hammock
All you need to start making money is a computer or a
smart phone and an Internet connection. Your work
space and goals are up to you!
Easy rules
Unlike the stock market with tens of thousands of different
shares, Forex works with 8 basic currencies, which are the
center of most trades. Moreover, there are significantly less
factors that influence currency exchange rates than in the
stock market.
Start with $100
Unlike other finance markets, Forex doesn’t require big
savings for you to take part. You can have significant
results by starting with just $100 - $200.
$100
See the Top of the Best Platforms at the end of the book

breaking the biggest forex myth
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London
EST time
MON TUE WED THU FRI SAT SUN
New York
Sidney
Tokio
Best time
We strongly advice you to avoid all resources that
tell you Forex market is a fairy-tale place where you
can trade 24/7! The timing in forex trading is
crucial!
The Forex market is open 24 hours a day, but it is
not active all this time! In Forex trading money is
made when the market is active (when traders are
bidding on the prices) so it is crucial for you to learn
about the most productive hours of the day and of
the week for trading the forex!
There are three major trading sessions of the Forex
market: London, US and Tokyo session. The busiest
times are when the sessions overlap as traders can
then purchase currencies from different continents.
The Forex market of London is usually the most
active as it involves many countries of the
European Union. The US market comes next, so the
time when the London session intersects with the
US session usually provides the biggest returns.
Expert traders consider 10 AM to be the best time
as this is the period when the London market is
preparing to close the trades and traders are
getting ready to move to US market. This creates
big swings in currency prices thus opening great
opportunities for proﬁt.
THE BEST TIME OF THE WEEK TO TRADE FOREX
According to research, the biggest movement in the four major currency pairs (EUR/USD, GBP/USD,
USD/JPY, USD/CHF) is observed on Tuesdays and Wednesdays. Fridays are busy as well, but only until
12:00 PM and during the second half of the day the movements can be very unpredictable.

USD/CHF
EUR/JPY
USD/CAD
EUR/USD
GBP/USD
USD/JPY
exchangeforeign
The most common currency pairs
Forex is an international currency market
with daily deals worth $4 billion.
The trade in Forex occurs between two
currencies, because one currency is being
bought and another – sold at the same
time.
FOREX
TOP PAIR
EUR/USD
deals
of all
1/3
EUR/USD
1.30011.3000
Selling price (Bid) Buying price (Ask)
Base
Currency
Quote
Currency
28%
EUR/USDEUR/USD
Point (Pip)
The fourth unit after the
decimal point, which is the
smallest unit of an exchange rate.
Spread
The difference between the sell
quote and the buy quote (in pips).
The smaller the spread,
the more liquid the currency!
spread
point
forex glossary

What influences exchange rates?
How the Euro exchange rate dropped
Dec 1
2011
Nov 1
2011
EUR/USD
Example
Prime Minister
of Greece announces
referendum
The EU cannot
agree upon
changes in the
treaty
Central banks
agree to stimulate
liquidity of finan-
cial transactionECB announces
a new president
Berlusconi
resigns
Source: Morgan Stanley Research, Bloomberg.
Finance circulation
Interest rates
Mandatory reserve funds
GDP, inﬂation, debt
Sales amounts
Interest from investors
Stability of governments
Public statements
Change of officials
Central banks State economics Politics

leverage & Lots
Term Leverage
Term Lot
Stock market Forex market
Through the use of leverage, traders are
able to invest a small amount of money and
trade much larger deal sizes. This is useful
because the movement in currency rates can
be very small, and larger trades represent
larger profits/losses for every pip change in
the rate.
Leverage allows you to trade with more
money than you have in your account,
because you effectively “leverage” your free
balance to open a larger trade. Leverage is
shown as a ratio, for example 1:100. Note
that leverage amplifies both potential
profits and losses alike.
In Forex, all transactions can be conducted via standard, mini, and micro lots. Each lot size
accounts for a different measure of units of the base currency, which in turn presents a
different pip value. Below is a simple chart to illustrate the differences in lot sizes, measured
in units, volume for the major pairs where the base currency is USD.
The smaller contract sizes have a broad appeal to beginner investors who do not want to
take on a disproportional amount of risk. Generally speaking, mini account holders have
access to the same materials as the regular account holders such as charts, trading plat-
forms, support, etc. Those traders who are looking to get started in the forex market should
consider opening a mini account because of the smaller contract sizes.
Maximum leverage 1:2 from 1:50 to 1:400
Varying lot sizes
Standard Lot 100,000 units 1 1 pip = $10
Mini Lot 10,000 units 0.1 1 pip = $1
Mini Lot 10’000 units 0.1 1 pip = $1
Units of
base currency
Pip Value
(base: USD)
Volume
Micro Lot 1,000 units 0.01 1 pip = $0.10

How leverage works
You decide to buy 100,000 EUR and sell
USD at a rate of 1.4100. Do you need
more than 100,000 US dollars to open
the trade? No! With a leverage of 1:50
you will need to put down only 1/50 of
the deal size as the margin, which works
out to $2,820.
Calculate the margin:
Leverage 1:50
Divide 100,000 by 50=2000 EUR
2000 EUR x 1.41=$2,820
Margin=$2,820
This is the amount that will be used to
cover your potential losses. In other
words, the margin is the actual amount
that you are risking to lose if the trade
goes against you.
Leverage is a very aggressive investment
strategy and only those with high risk
tolerance and a long time horizon should
consider leverage.
Use leverage appropriate to your
comfort level: Using 1:50 leverage means
that a 2% adverse move could wipe out
all your equity or margin. If you are a
relatively cautious investor or trader, use
a lower level of leverage with perhaps 1:5
or 1:10 leverage.
The leverage available on positions
carried over the weekend may vary.
Maximum leverage limits vary in
different countries, varying from 1:10 to
1:400.
Example Tips & Warnings
Leverage
“Leverage” simply means borrowed funds.
While the high degree of leverage used in
forex trading magniﬁes returns and risks, a
few safety precautions used by professional
traders may help mitigate these risks.

Trading strategy – leverage
1.dec
2011
1.nov
2011
1.3500
1.3000
1.4000
EUR/USD
Going short on euro
You expect the euro to fall against the US dollar.
Open @ 1.3800
Close @ 1.3108
Case B: Leverage 1:200
You open a position of 1 lot, which
requires an initial deposit of
(€100,000*1.3800/200) $690.
You were right. Euro depreciates against
the dollar to 1.3108 and you decide to
close your trade and take your profits.
Result: The euro fell by 692 pips (1.3800
- 1.3108 x 10’000). Your profit is 692 x 1
(lot) x 200(Leverage) = $138,400
Investment: $690
Profit: $138,400
Case B: Leverage 1:50
You open a position of 1 lot, which
requires an initial deposit of
(€100,000*1.3800/50) $2,760.
You were right. Euro depreciates against
the dollar to 1.3108 and you decide to
close your trade and take your profits.
Result: The euro fell by 692 pips (1.3800
- 1.3108 x 10’000). Your profit is 692 x 1
(lot) x 50 (Leverage) = $34,600
If the trend moves against the investor, leverage magnifies losses the same way it
magnifies returns in the examples above.
Investment: $2,760
Profit: $34,600

how to read graphs
time
X
time
X
Let us look at a daily graph.
What do most traders do
when they see such a curve?
They assume that it’s the
beginning of a downward
tendency and bid on the drop
of the currency exchange
rate. And they’re wrong!
Now let’s look at the same
currency over a longer period
of time.
We see that the daily shift
was inconsequential to the
long-term tendency as it is
upward and not the other
way around.
MULTIPLE TIME FRAME ANALYSIS
The market can be analysed in several time frames: 10 minutes, hours, days, weeks.
It may often seem that these indicators are contradictory. However, they aren’t, you
just need to combine their readings. Analyses of longer time periods show
tendencies, ignoring accidental changes, whereas daily and hourly graphs help in
choosing the moment to open and close positions.
For successful and precise market analysis, you must use at least 2-3 time frames!
Example
Conclusion
November
3 10 17 24
1500
1550
1600
Aug Sep Okt Nov Dec
1300
1600
1900

8 FOREXSTRATEGIESYOU NEEDTO KNOW

1. The Double-Red Strategy
The double-red strategy is a short-term
reversal system based on price action and
resistance. The trade is planned on a
5-minute chart and is signaled when two
bearish candles form following a test of
resistance.
1. Choose an asset and watch the market
until you see the ﬁrst red bar. Then wait
for a second red bar.
2. If the second red bar closes lower than
the ﬁrst red bar, then it’s a jackpot.
3. Usually, what happens is that the third
bar will go even lower than the second
bar. This is the point where you should
open a short position.
are taking place
Watch outDescription
Resistance level
Sell
1.
2.

2. copy trading STRATEGY
Copy the trades of experienced traders.
This is the best solution for beginners who don’t have much
free time.
1. Choose
network
2. Choose
traders to copy
3. They make
money for you
Social trading networks like Etoro or Plus500 offer an opportunity to follow the best traders
and copy their trades with a click of a button. Choose the traders you like, and then sit
back and watch them make proﬁt for you. This is also a good way to learn Forex
strategies in a real-life trading environment.
EASIESTstrategy
best for dummies

Key elements
Support is the level at which the price
seldom falls below; resistance is the level
the price seldom exceeds. Each time the
price hits the resistance or support, the
price appears to hit a wall and reverses. At
support levels, the number of buyers gen-
erally exceeds the number of sellers; this
pushes the price back up. At resistance
levels, the number of sellers exceeds the
number of buyers causing the price to go
back down.
Description
3. Support & Resistance
Resistance level
Support level
Buy
Sell Sell Sell
Buy

one price bar closes below/above the
support or resistance.
line or below the resistance, but not too
close to avoid common movements and
ﬂat widening.
Key elements
When a price trades within a range for
some time, sooner or later, there will be a
breakout either up or down. This breakout
is usually very fast and volatile. Therefore,
it is possible to open a trade in the same
direction.
Description
4. Breakouts
Resistance level
Support level
Buy

2. Upper shadow
at least 2x the size
of the real body
3. Conﬁrmation
of a downtrend.
A Pinocchio bar is a candlestick bar that
has a very small body and a very long wick
(nose). It is also called Shooting Star,
Hanging Man, Hammer and Inverted
Hammer. You may remember that
Pinnochio’s nose grew long when he was
lying. The same happens with this
strategy: when the wick is longer than
the body, this tells us that the market is
deceiving us and that we should trade the
opposite way.
The entry point varies: some traders
prefer to wait for the next candle to
retrace to the 50% Fibonacci level of the
Pin bar, while others enter immediately
after the Pin bar closes. A long wick
indicates strong selling pressure; a long
tail suggests intense buying power.
bearish Pinocchio signal must come after
an uptrend (see image above). Trying to
trade the bearish Pinocchio pattern in
neutral market conditions can be risky.
Key elements
Watch out
Description
Bearish Pinnochio Sell
5. The Pinocchio Strategy
68%
win
rate

6. The 1-2-3 Strategy
1. After an uptrend or, at least, a strong
move up, look for the 1 – 2 – 3 pattern to
form, starting, of course, with the ﬁrst
peak (1).
2. If a counter-move starts, mark the
bottom of that move with (2).
3. If the new move up does not surpass
point (1) and starts turning down, mark
the highest point of this new move up
with (3).
4. The pattern is now complete. There is
still a very important rule that must be
observed: the price must move down to
break the low created at point (2). If that
happens, all of our conditions are met and
we enter the trade with a short position.
Description
If a peak is not surpassed,
it becomes point 1.
1
Point 2 marks the end
of a counter move.
2
Point 3 does not go
higher than point 1.
3
Sell

A sell signal is indicated when the spot
rate crosses under the moving average.
The fact that the "double-top" chart
pattern occurs at roughly the same
point, reinforces the sell signal.
A buy signal is indicated when the spot
rate crosses over the moving average.
The "reverse head and shoulders" pattern
(as seen in the chart above) confirms the
buy signal.
Key elements
Using moving averages to determine
trend direction is the oldest form of
technical analysis and remains one of the
most commonly used indicators. Moving
averages "smooth out" fluctuations and
help distinguish between typical market
fluctuations and actual rate reversals.
Description
7. Moving average
Sell
Buy
Moving Average

when working with oscillators to avoid
bigger losses if a breakout should
happen.
Key elements
Oscillators can provide clues when the
market’s momentum is slowing down,
which often precedes a shift in the trend.
Momentum shifts directions when the two
lines (blue and red) cross. Therefore, a
trader takes a signal in the direction of
the cross when the blue line crosses the
red line.
Description
8. Oscillators
Extremum
Extremum
Buy
Sell

top 10 expert tips for success
An essential mistake beginners make
is closing the transaction too soon
and thus not taking advantage of the
full profit potential. Trends last
longer than they might seem at first!
6 Don’t stop the profit
Transactions against a trend usually
result in loss. Wait for a beneficial
tendency and then make your move!
7 Don’t play against
the trend
If you still aren’t confident about
your decisions, choose a platform
that lets you follow leaders and copy
their transactions.
8 If in doubt, follow
the leader
Don’t hold unsuccessful positions
open for a long time. Experience
shows that it’s best to close them
early and move on to others.
Close the unsuccessful
Beginners often don’t know that
when trends start, they develop
quickly because they are increased by
the number of traders following
them. Use trends in your favour!
9
10
Trends have momentum
Don’t open many positions at the
same time. It’s better to choose
fewer positions, but weigh each of
them carefully.
1 Start gradually
People often forget to limit their loss
and therefore have to step out of the
game very soon. With the Stop-Loss
Order, you will be able to control the
situation even if the rates change
unexpectedly.
2 Stop-Loss order
Specialists advise against risking
more than 1/6 of your free capital
when you aren’t completely
confident.
3 Rule of 1/6
Differentiate the time frames of
analysis. Weekly graphs are used to
observe trends while daily and hourly
graphs are best used to observe the
best time to open and close
positions.
Multiple time frames
Each good trader has their own plan,
and the best traders make an effort
to hold onto it. Those who have the
time, make daily transactions, others
choose long-term strategies. Keep it
steady!
4
5
Stick to the plan

There are many companies that offer margin-trading (Forex) services. Without the
knowledge of the essential criteria, it’s easy to get lost in the details of a large offer and
choose an unsuitable or, as a worst-case scenario an unreliable service provider. What is
most important when choosing a platform provider, and how does one orientate themselves
in so many offers? Below is a compilation of some advice from several professionals in the
Forex market, which can be narrowed down to four basic criteria:
Reputation of the company
Evaluate the popularity of the platform provider – whether
there are any complaints about the services and what those
complaints are, what the customer service is and whether or
not proﬁt payments are ever delayed.
Convenience of the user interface
You have to evaluate how easy and convenient it is to use the
platform and what analytical options and extra tools it uses. It
is best to check the user interfaces by opening demo accounts
offered by the best platforms.
Commission for paid transactions
The commission payments for transactions are described by the
spread, which is the difference between the bid and offer price
of the currency. The bigger the spread, the more you will have
to pay the service provider. Commission payments are usually
higher for independent platforms rather than commercial bank
Forex platforms.
Money transactions
The best platforms provide the opportunity to use wire
transfers or other online payment operators such as PayPal or
Money Bookers, which are the most convenient and easy
methods of receiveing funds.
1 2 3
how to choose the right broker

* eToro is a Social Investment Network.
**Plus 500 is a CFD only Service. Your Capital may be at risk.
Easy Forex
eToro*
Platform Max. Leverage Rating
1:400
$25 1:200
visit sitevisit site
2
1
4
3
5
Ducascopy
$100 1:300
Plus 500**
$100 1:300
For optimum results
recomended to
invest at least $300
Min. Deposit
$100
FxPro
$500 1:500

copied trades are proﬁtable.
about their strategies to their followers
Facebook, Amazon, Apple etc.
BankWire, MoneyBookers, Webmoney
support@etoro.com
Platform pictures
FactsPros
* Overnight commissions might be applicable
beginners
best for
Cons
eToro is the world's leading social investment network with over 3 million registered
users from over 200 countries. The eToro platform is considered to be the most user
friendly and intuitive for beginners. eToro is known for its unique “social trading
tools” that let you see, follow and copy the best performing traders in the network.
You don't need to be an expert to invest like a top performer.

A popular platform which has proven itself since 1999. Plus 500 is one of the rare
brokers listed on the London Stock Exchange. This platform has an app available for
mobile devices including the iPad, which allows you to make transactions wherever
you are (Highest rated broker in UK’s app store). Plus500 is suitable for experienced
traders and not beginners. Plus500 is a CFD service. *Your Capital is at risk.
on the London Stock Exchange
account veriﬁcation
iPhone, Android and Windows phone)
Financial Conduct
Authority.
Skrill, Bank Wire
support@Plus500.com
Pros
Cons
Platform pictures
Facts
editor’s
choice

Bank Wire
Platform pictures
best of
all-in-one
Cons
Pros Facts
A user friendly, yet professional and trustworthy platform that has trained many
professionals. This platform offers one of the easiest sign-up processes as well as
multiple payment receival options. A pleasant feature is the super low minimal
deposit - just $25. With one trading account, you can trade from your desktop, smart
phone, iPhone, BlackBerry, or PDA. The variety of market reviews and analysis tools
offered by this platform is remarkable, all of which will help you make the right
decisions.

FxPro has been a major player in retail FX since it was established in 2006, and has
quickly risen through the ranks to become one of the largest and most inﬂuential
brokers in the world. Regulated by both the UK’s FCA and the CySEC FxPro is a truly
global broker serving clients in over 150 countries worldwide. FxPro has been a force
for change in the industry, leading by example it continues to campaign for
increased levels of transparency and for the eradication of any and all conﬂicts of
interest between broker and client. When FxPro’s clients take a position on the
world’s markets they receive the very best bid and ask prices, executed rapidly, and
with no intervention from a dealing desk. FxPro offers also a true ECN trading with
spreads from 0 pips on the major pairs.
No Dealing Desk intervention
Insured Client Funds
Negative Balance Protection
Commission-less trading
Leverage from 1:1 to 1:500
Offers also ECN trading
Best tools in the market
spread)
within 1 business day
Bank Wire, Skrill, Neteller, and more.
Pros
Cons
Platform pictures
Facts

Markets Authority
1million USD deposit
Platform pictures
Cons
Pros Facts
Ducascopy is one of the most reliable and secure brokers out there. Dukascopy
Europe is a European subsidiary of Dukascopy Bank of Switzerland. It is a heavily
regulated broker and secured by governmental regulations up to 20’000 EUR per
customer. Ducascopy Europe is one of the safest places to trade and also provides
the lowest spreads and highest liquidity.

Thanks for reading!
Visit our web page to get the latest tips
and strategies!
www.goforexapp.com

Forex trading for Beginners 2020 /updated

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Forex trading for Beginners 2020 /updated